Comdial Launches Avalon Communications and Security System for Assisted Living
Communities Second Half Sales To...
Business Wire
21-JUL-98
CHARLOTTESVILLE, Va.--(BUSINESS WIRE)--July 21, 1998--Comdial Corporation
(Nasdaq NM: CMDL) today announced that it is accepting orders for Avalon, the
first fully integrated communications system specifically designed for
assisted living communities. Based on successful beta testing, Comdial already
has $750,000 of orders on hand and is very confident that product sales will
exceed $1,000,000 for the balance of the year.
Mr. William G. Mustain, President and CEO, said, "Avalon is another example of
Comdial's strategic focus on fast growing vertical markets. We are very
pleased to be first to market with a packaged assisted living product for what
experts say is the fastest growing sector of the health care industry." Avalon
Designed with both residents and property-owners in mind, the Avalon system
combines leading edge telecommunications hardware and software with on-line
facilities management. Avalon helps assure security and safety by
automatically alerting caregivers of an alarm condition. Should an assisted
living resident activate a pull cord alarm, dial 911, leave a telephone off-
hook, or should a smoke/fire alarm become engaged, an alphanumeric message is
immediately sent to the displays of wireless terminals worn be caregivers.
Simultaneously, the display messages are sent to the business phones of
selected administrative personnel. The display message shows the nature of the
alarm, the location where the alarm originated, and the name of the occupant.
If there is no response within a pre-determined interval, the alarm escalates
to the next level of caregivers. The alarm condition and response time are
recorded at the attendant position, from which management reports can be
generated. In addition to its substantial security advantages, when equipped
with VVP voice processing systems from Comdial subsidiary Key Voice
Technologies, Avalon can also provide residents with their own voice mail
boxes.
For property owners, Avalon offers important marketing advantages over
communities not so equipped and its centralized administration from user-
friendly screens simplifies employee training. As well, the complete call
costing and billing software provides an attractive profit opportunity for
billing residents for local and long distance calls. The Opportunity
The assisted living industry is reported to be the fastest growing segment of
the health care industry in the United States. According to ALFA (Assisted
Living Federation of America) current industry revenues are $12- $15 billion
and are expected to double by the year 2000. Some of the many factors driving
this growth are favorable demographics, lifestyle choices, and efforts to
contain health care costs. The population of individuals 85 or older age is
projected by the U.S. Census Bureau to increase 39 percent by 2000.
Improvements in health care mean people are living much longer and the
increased net worth of the elderly population makes it possible for more
seniors live by themselves rather than with adult children. And for those less
affluent seniors, secure assisted living is generally more affordable than
nursing homes and the number of states offering Medicaid reimbursement is
growing. Sales Strategy
Avalon will be supported by a comprehensive sales and marketing program.
Comdial's National Accounts sales team will target the large multi-location
assisted living companies that are rapidly building new facilities throughout
the U.S. Negotiations are already underway with a number of these companies.
Qualified Comdial resellers will target local and regional assisted living
communities. Comdial Corporation
Comdial is a provider of integrated communications solutions for small and
mid-size organizations. The company's broad product line includes digital
switches, wired and wireless business telephones, call center hardware and
software, voice processing systems, and Internet protocol telephony gateways.
For more information on Comdial, visit our web site at http://www.comdial.com.
Financial reports, press releases, and related documents are also available
via fax by calling Investor Documents on Demand at 1-800-COMDIAL. This release
contains forward-looking statements that are subject to risks and
uncertainties, including, but not limited to, the impact of competitive
products, product demand and market acceptance risks, reliance on key
strategic alliances, fluctuations in operating results, delays in development
of highly complex products, and other risks detailed from time to time in the
Company's filings with the Securities and Exchange Commission. These risks
could cause the Company's actual results for 1998 and beyond to differ
materially from those expressed in any forward looking statement made by, or
on behalf of, the Company.
Dick Bucci